Kuehne & Nagel International Ag · SIX:KNIN

Kuehne & Nagel International — Kuehne + Nagel International — H1 2013 Earnings Presentation

29 slides from Kuehne & Nagel International's earnings presentation, Jul 15, 2013

  1. Slide 1: Analyst Conference Call – Half-Year 2013 Results

    Kuehne + Nagel International AG Analyst Conference Call – Half-Year 2013 Results July 15, 2013 (CET 14.00) Schindellegi, Switzerland

  2. Slide 2: Forward-looking Statements

    Forward-looking Statements This presentation contains forward-looking statements. Such statements are subject to risks and uncertainties as various factors, many of which are beyond the control of Kuehne + Nagel International AG, may cause actual development and results to differ materially from the

  3. Slide 3: Agenda

    Agenda Overview Half-Year 2013 Results Operating Review Financial Review Outlook Appendix Kuehne + Nagel Group – Half-Year 2013 Results Slide 3

  4. Slide 4: Overview Half-Year 2013 Results – Kuehne + Nagel Group

    Overview Half-Year 2013 Results – Kuehne + Nagel Group Turnover  Increased invoiced turnover by 3.3% 10394 10400 10062  Increased Gross Profit by 2.6% and EBIT by 5.5% 10000 9849 9786  Strict cost control and savings initiatives CHF million 9600 implemented; main impact in second semester 9200 

  5. Slide 5: Highlights per Business Unit

    Highlights per Business Unit Seafreight Airfreight Road & Rail Contract Logistics  Market increased by 1 - 2%  Contracting market  Market decreased  Market stagnating between 0 to -2%  Market rate volatility  Rates stable, with possible  Driver shortage  Strong competitive continues rate pea

  6. Slide 6: Income Statement

    Income Statement 2012 2012 HY1 2013 2013 HY1 Variance Variance Variance CHF million Q1 Q2 2012 Q1 Q2 2013 Q1 Q2 HY1 Invoiced turnover 4'834 5'228 10'062 5'094 5'300 10'394 260 72 332 Gross profit 1'502 1'530 3'032 1'537 1'575 3'112 35 45 80 Gross profit margin 31.1% 29.3% 30.1% 30.2% 29.7% 29.9% EBI

  7. Slide 7: Seafreight – Performance of Business Unit

    Seafreight – Performance of Business Unit Income Statement in CHF million HY1 2012 HY1 2013 Variance Invoiced Turnover 4'314 4'483 3.9% Gross profit 630 639 1.4% EBITDA 196 198 1.0% EBIT 185 187 1.1% EBIT in % of GP 29.4% 29.3% 1'000 45.0 914 911 TEU '000 Highlights Half-Year 2013 879 900 862 861 GP

  8. Slide 8: Seafreight – Volume per Tradelane

    Seafreight – Volume per Tradelane TEU ´000 HY1 2013: 1‘749 TEU ´000 HY1 2012: 1‘698 Volume growth HY1 2013: 3.0% North America - Europe 54 Intra-Europe Europe - Asia-Pacific - Middle East/Africa Middle East/Africa North America - North America 138 48 100 65 Asia-Pacific 167 Europe - 65 North America

  9. Slide 9: World's Largest Seafreight Forwarders 2012

    10 World's Largest Seafreight Forwarders 2012 Market Share (by Revenue) – excl. carriers 10.9% 5.9% 5.5% 3.4% 3.3% 59.8% 2.5% others 2.5% 2.4% 2.2% 1.6% Source: Transport Intelligence (June 2013) Kuehne + Nagel Group – Half-Year 2013 Results Slide 9

  10. Slide 10: GP per TEU in CHF - Gap to Peers

    GP per TEU in CHF - Gap to Peers 450 16% 14% 14% 12% 12% 10% 400 10% 10% Gap to Peers in % 10% GP/TEU in CHF 8% 7% 8% 6% 6% 350 4% 2% 2% 300 0% Q1 11 Q2 11 Q3 11 Q4 11 Q1 12 Q2 12 Q3 12 Q4 12 Q1 13 Gap to peers Peer group Kuehne + Nagel GP/TEU in % weighted avg. GP/TEU in CHF in CHF Peer group: DHL,

  11. Slide 11: Airfreight – Performance of Business Unit

    Airfreight – Performance of Business Unit Income Statement in CHF million HY1 2012 HY1 2013 Variance Invoiced Turnover 1'981 2'058 3.9% Gross profit 415 442 6.5% EBITDA excl. one-off item 115 124 7.8% EBIT excl. one-off item 105 110 4.8% One-off item (65) - (100.0%) EBIT 40 110 175.0% EBIT in % of G

  12. Slide 12: Airfreight – Volume per Tradelane

    Airfreight – Volume per Tradelane Tons ´000 HY1 2013: 558 Tons ´000 HY1 2012: 538 Volume growth HY1 2013: 3.7% North America - 32 Europe Intra-Europe Europe - Asia-Pacific - Europe - Middle East/Africa Middle East/Africa 72 North America North America - North America 25 17 Asia-Pacific 27 18 16 Asia

  13. Slide 13: World's Largest Airfreight Forwarders 2012

    10 World's Largest Airfreight Forwarders 2012 Market Share (by Revenue) 8.8% 7.5% 5.6% 4.1% 55.3% 3.4% others 3.3% 3.3% 3.2% 3.2% 2.2% Source: Transport Intelligence (June 2013) Kuehne + Nagel Group – Half-Year 2013 Results Slide 13

  14. Slide 14: GP per kg in CHF - Gap to Peers

    GP per 100 kg in CHF - Gap to Peers 80 25% 20% 75 20% Gap to Peers in % GP/100kg in CHF 16% 70 14% 15% 13% 11% 11% 10% 65 10% 7% 6% 60 5% Q1 11 Q2 11 Q3 11 Q4 11 Q1 12 Q2 12 Q3 12 Q4 12 Q1 13 Gap to peers Peer group Kuehne + Nagel GP/100kg in % weighted avg. GP/100kg in CHF in CHF Peer group: DHL, D

  15. Slide 15: Road & Rail – Performance of Business Unit

    Road & Rail – Performance of Business Unit Income Statement in CHF million HY1 2012 HY1 2013 Variance Invoiced Turnover 1'558 1'527 (2.0%) Net Invoiced Turnover 1'421 1'396 (1.8%) Gross profit 456 456 - EBITDA 29 17 (41.4%) EBITA 15 5 (66.7%) EBIT 2 (5) n/a EBITDA / Revenue margin 1.9% 1.1% EBIT / R

  16. Slide 16: Contract Logistics – Performance of Business Unit

    Contract Logistics – Performance of Business Unit Income Statement in CHF million HY1 2012 HY1 2013 Variance Invoiced Turnover 2'150 2'259 5.1% Net Invoiced Turnover 2'009 2'085 3.8% Gross profit 1'512 1'554 2.8% EBITDA 72 86 19.4% EBITA 38 52 36.8% EBIT 25 45 80.0% EBITDA / Revenue margin 3.3% 3.8%

  17. Slide 17: Group Key Data

    Group Key Data Financial Overview HY1 2013 Financial targets CHF million 2012 2013 Profitability  Conversion rate (EBIT/GP) in Seafreight 30%+, in Airfreight 25%+ Invoiced Turnover 10,062 10,394 Gross Profit 3,032 3,112 EBITDA 389* 466 CAPEX  Estimate at approx. CHF 175 mio (2012: CHF 175 mio) Net

  18. Slide 18: Balance Sheet

    Balance Sheet 31 December 30 June 31 December 30 June CHF million CHF million 2012 2013 2012 2013 Assets Liabilities and equity Property, plant and equipment 1'134 1'142 Equity attributable to the equity holders 2'396 2'272 of the parent company Goodwill 694 694 Intangibles 141 114 Non-controlling i

  19. Slide 19: Cash Flow Half-Year

    Cash Flow Half-Year CHF million 2012 2013 Better/(Worse) Operational cash flow 387 474 87 Changes in working capital (138) (115) 23 Increase of provision for antitrust fine 65 - (65) Income taxes paid (97) (105) (8) Cash flow from operating activities 217 254 37 Cash flow from investing activities 2

  20. Slide 20: Net Working Capital Development

    Net Working Capital Development Variance CHF million June 2012 Dec 2012 March 2013 June 2013 June 13 vs. Dec 12 Trade receivables & Work in progress 2'917 2'809 2'870 2'867 (58) Trade payables & Accrued trade expenses (2'171) (2'138) (2'108) (2'120) (18) Net Working Capital 746 671 762 747 (76) KPI'

  21. Slide 21: Outlook Volume Development 2013

    Outlook Volume Development 2013 2013 Estimate Kuehne + Nagel Kuehne + Nagel Business unit 2012 HY1 2013 Kuehne + Nagel Market Seafreight +6% +3% + 4 to 6 % + 2 to 3 % [TEU] Airfreight +2% +4% + 1 to 3 % + 0 to - 2 % [Ton] Road & Rail +7% -3 % + 0 to 2 % + 0 to - 2 % [net inv‘d TO] Contract Logistics

  22. Slide 22: Appendix

    KUEHNE+NAGEL Appendix

  23. Slide 23: Upcoming Events

    Upcoming Events September 18, 2013 Capital Markets Day, London October 15, 2013 Nine-months 2013 results March 3, 2014 Full year 2013 results April 14, 2014 First quarter 2014 results May 6, 2014 Annual General Meeting May 13, 2014 Dividend payment for 2013 July 14, 2014 Half-year 2014 results Octob

  24. Slide 24: Development Main Exchange Rates vs. CHF

    Development Main Exchange Rates vs. CHF Income Statement (average rates) EUR USD GBP Full-year 2011 1.2350 0.8908 1.4226 2012 1.2062 0.9327 1.4827 HY1 2012 1.2066 0.9252 1.4622 2013 1.2289 0.9363 1.4476 Better/(Worse) 1.8% 1.2% (1.0%) 0.9% Net earnings impact Kuehne + Nagel Group – Half-Year 2013 Re

  25. Slide 25: Quarter over Quarter HY1 2013 - 2012

    Quarter over Quarter HY1 2013 - 2012 Variance in CHF million 2013 2012 2013/2012 Change in % 2013/2012 CHF million Q1 Q2 Total Q1 Q2 Total Q1 Q2 Total Q1 Q2 Total Seafreight Turnover 2'204 2'279 4'483 2'031 2'283 4'314 +8.5 (0.2) +3.9 173 (4) 169 Gross Profit 318 321 639 314 316 630 +1.3 +1.6 +1.4 4

  26. Slide 26: Quarter over Quarter HY1 2013 - 2012

    Quarter over Quarter HY1 2013 - 2012 Variance in CHF million 2013 2012 2013/2012 Change in % 2013/2012 CHF million Q1 Q2 Total Q1 Q2 Total Q1 Q2 Total Q1 Q2 Total Road & Rail Logistics Turnover 737 790 1'527 744 814 1'558 (0.9) (2.9) (2.0) (7) (24) (31) Gross Profit 221 235 456 225 231 456 (1.8) +1.

  27. Slide 27: Quarter over Quarter HY1 2013 - 2012

    Quarter over Quarter HY1 2013 - 2012 Variance in CHF million 2013 2012 2013/2012 Change in % 2013/2012 CHF million Q1 Q2 Total Q1 Q2 Total Q1 Q2 Total Q1 Q2 Total Real Estate Turnover - 1 1 - 1 1 Gross Profit - 1 1 - 1 1 Total Expenses 15 15 30 18 14 32 (16.7) +7.1 (6.3) (3) 1 (2) EBITDA 15 16 31 18

  28. Slide 28: Thank you for your attention.

    Thank you for your attention.

  29. Slide 29: Contact and Disclaimer

    Contact Gerard van Kesteren Markus Blanka-Graff Andrea Kobi CFO Director Corporate Finance + Investor Relations Investor Relations gerard.vankesteren@kuehne-nagel.com markus.blanka@kuehne-nagel.com andrea.kobi@kuehne-nagel.com Tel: +41 (0)44 7869 564 Tel: +41 (0)44 7869 644 +41 (0)44 7869 561 Discla

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